24th Apr 2015 10:18
LONDON (Alliance News) - JPMorgan Elect PLC Friday said its managed growth and managed income total returns outperformed those of their benchmarks in the first half of its financial year.
The trust said its managed growth portfolio delivered a total return on net assets of 9.7% in the six months ended February 28, an outperformance of the 6.5% return produced by its benchmark.
The managed growth portfolio's benchmark is comprised in equal weighting of the FTSE All-Share and FTSE World (ex-UK) indices.
Its share price total return was 9.6%, which reflected a slight widening of the discount at which it trades to net asset value.
The managed income portfolio delivered a total return on net assets of 5.0% over the six-month period, an outperformance of the benchmark's 3.9%. The benchmark is comprised of 85% FTSE All-Share Index and 15% Barclays Global Aggregate Corporate Bond Index (hedged) in sterling terms, according to the trust. The managed income portfolio share price total return was 5.5%, "reflecting a helpful narrowing of the discount, against the trend of the industry".
The managed cash portfolio delivered a total return on net assets of 0.2% over the six-month period.
However, the trust cited an "anomalous downward move in the share price on the last day of our financial year temporarily distorted the calculation of the total return to shareholders to a poor -2.0%".
"The equivalent figure for both 20th February and 6th March 2015 was -1.0%. Although this figure is still disappointing, the board has satisfied itself that the reaction in the share price was a response to a broader widening of discounts in the investment trust sector, which had been a major theme in the first quarter of the year. The assets of the Managed Cash portfolio remain invested in sterling liquidity funds with a credit rating of AAA (or equivalent)," the trust said.
By Samuel Agini; [email protected]; @samuelagini
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